options-income fund

(redirected from Option Income Fund)

Options-Income Fund

A mutual fund where the money managers write covered calls on the securities in the fund. This allows the fund to profit from the collection of the premiums while eliminating the risk that it will lose on the option transaction. In the worst case scenario, it must sell a security in its portfolio when an option is exercised. Most of the time, the options are not exercised and the fund simply increases its income with the premiums.

options-income fund

A mutual fund that attempts to increase current income by writing covered call options on securities held in the fund's portfolio.
References in periodicals archive ?
14, 2010 /PRNewswire-FirstCall/ -- Eaton Vance Enhanced Equity Option Income Fund and Eaton Vance Risk-Managed Equity Option Income Fund, two diversified open-end investment management companies, announced today that beginning with the February 2011 distributions, each Fund's quarterly distribution rate is expected to be reduced by approximately 25%.
Option Strategy and Distribution Rate Data: Enhanced data focusing on the option strategy and Distribution Rate on the equity portfolios for Nuveen's equity option income funds.
A) As of January 92, Option Income Funds Report in Income- Equity category.